Unit of competency
Modification History
Release |
Comments |
Release 2 |
This version first released with FNS Financial Services Training Package Version 1.1. Release 2 created to correct typographical error. |
Release 1 |
This version first released with FNS Financial Services Training Package Version 1. |
Application
This unit describes the skills and knowledge required to record and prepare payroll documentation, respond to enquiries and process accurate payroll data for manual and computerised systems.
It applies to individuals who use a range of organisational and other specialist techniques. They may work directly for organisations or be small business owners, contractors or service providers.
Work functions in the occupational areas where this unit may be used are subject to regulatory requirements. This unit is designed to meet educational requirements of the Tax Practitioner Board (TPB). Refer to the FNS Implementation Guide Companion Volume or the relevant regulator for specific guidance on requirements.
Unit Sector
Bookkeeping
Elements and Performance Criteria
ELEMENT |
PERFORMANCE CRITERIA |
Elements describe the essential outcomes. |
Performance criteria describe the performance needed to demonstrate achievement of the element. |
1. Establish payroll requirements |
1.1 Apply knowledge of relevant legislation in relation to employment standards, and other legislative requirements in regards to payments 1.2 Seek instruction from authorised parties in relation to relevant state and modern awards regarding details to be set up within payroll system for individual employees 1.3 Establish payroll set-up for salary packaging 1.4 Assess scope of payroll services BAS agent can provide and identify need for independent expert advice providers |
2. Record payroll data |
2.1 Ensure payroll system includes complete and accurate employee data 2.2 Review payroll data and clarify discrepancies with designated persons 2.3 Enter employee pay period details, deductions and allowances in payroll system in accordance with source data 2.4 Calculate payment due to individual employees to reflect standard pay and variations in accordance with employee source data |
3. Prepare and process payroll |
3.1 Conduct payroll preparation within designated timelines in accordance with organisational policy and procedures 3.2 Calculate, record and reconcile employee in accordance with legislative requirements 3.3 Reconcile total payments for pay period, and review and correct irregularities or refer them to designated persons for resolution 3.4 Obtain authorisation of payroll and individual pay advice in accordance with organisational requirements 3.5 Make arrangements for payments in accordance with organisational and legislative requirements 3.6 Produce, review and store payroll records in accordance with organisational policy and security procedures |
4. Handle payroll enquiries |
4.1 Respond to payroll enquiries in accordance with organisational and legislative requirements 4.2 Provide information in accordance with organisational and legislative requirements 4.3 Refer enquiries outside area of responsibility or knowledge to designated persons for resolution 4.4 Provide additional information or complete follow-up action within designated timelines in accordance with organisational policy and procedures |
5. Maintain payroll |
5.1 Maintain all information and record keeping relating to payroll function in accordance with relevant legislation and regulations 5.2 Produce and reconcile month-end and year-end checklists to ensure compliance with relevant legislative and management deadlines 5.3 Update records and systems in line with salary reviews and other changes in employment status 5.4 Establish back-up and disaster recovery systems 5.5 Generate and distribute payroll reports in line with organisational policy 5.6 Extract and apply business activity statement (BAS) and instalment activity statement (IAS) data in accordance with relevant legislation and regulations |
Foundation Skills
This section describes language, literacy, numeracy and employment skills incorporated in the performance criteria that are required for competent performance.
Skill |
Performance Criteria |
Description |
Reading |
2.2, 3.3, 3.6 |
|
Writing |
3.6, 4.1, 4.2, 5.2, 5.3 |
|
Oral Communication |
4.1-4.4 |
|
Numeracy |
3.2, 3.3 |
|
Navigate the world of work |
1.1, 1.4, 3.2, 3.4-3.6, 4.1-4.4, 5.1, 5.6 |
|
Interact with others |
1.2, 4.3 |
|
Get the work done |
1.3, 2.1, 3.5, 4.4, 5.1-5.6 |
|
Range of Conditions
This section specifies different work environments and conditions that may affect performance. Essential operating conditions that may be present (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) are included.
Payroll preparation must include: |
|
Payroll records must include: |
|
Unit Mapping Information
Code and title current version |
Code and title previous version |
Comments |
Equivalence status |
FNSBKG405 Establish and maintain a payroll system |
FNSBKG405A Establish and maintain a payroll system |
Updated to meet Standards for Training Packages Wording changes New element and reordering of performance criteria to clarify intent and update to industry requirements |
Equivalent unit |
Links
Companion Volume implementation guides are found in VETNet - https://vetnet.gov.au/Pages/TrainingDocs.aspx?q=c7200cc8-0566-4f04-b76f-e89fd6f102fe